Media Theory Revision Guide
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The Times
The Times: vertical integration
Curran and Seaton
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News Corporation (NC) has purposefully sought to enable a vertically integrated corporate structure in order to realise a range of production, distribution and marketing benefits.
Ownership, for instance, of a printing subsidiary in the UK enables the Times to be produced without the need to employ companies to fulfill production functions. This helps NC to capture upstream profits and to fully take control of production processes.
NC also uses the Times as a promotional vehicle for its wider book book publication services. The Times routinely carries favourable reviews of book releases by the NC owned publishing subsidiary HarperCollins (HC) - generating targeted and positive publicity for HC whilst also gifting the Times privileged access to premium stories and exclusive interviews with HC authors.
The ownership of Storyful by NC, a social media research company, also gives the Times access to important trends and verified story leads that the paper can turn into cost effective content.
Vertical integration
Ownership of subsidiaries that enables a media producer to produce, promote and distribute products. This expansion strategy allows conglomerates to control all aspects of production.
Media terminology used
Cost rationalisation
A type of strategy used by producers that reduces production costs. Bulk buying, for example, allows media producers to save money on raw materials.
Synergistic relationship
Two separate media organisations working together in a manner that benefits both organisations.